Assessment of Cooperatives in the Poultry Industry - 2013.pdf - Seda

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Research Report: Addressing the Needs, Opportunities and Challenges of Cooperatives and Collectively Owned Enterprises in the Poultry and Related Industries Encourage establishment of businesses that take advantage of market gaps: Many cooperatives begin simply by mimicking other businesses in the area, without taking into consideration market demand. While in the case of broiler production this may allow for beneficial clustering, it does not always lead to the creation of businesses with enough demand. The DPFO highlighted that for new poultry cooperatives, egg laying is a less risky business. Therefore, where new entrants are interested in starting a poultry business, the establishment of egg laying could be promoted as a potential opportunity for development where demand for broilers is low. The demand for egg laying in the area would also have to be assessed, however, egg laying presents less transport challenges as eggs do not require refrigeration. The survey also revealed lack of access to transport as a key constraint in accessing markets. An opportunity may therefore exist to form a business that provides transport to other cooperatives in a specific area where transport is a challenge. 5.3. Conclusion This chapter provides strategic interventions focused on the opportunities and challenges identified during the course of the research. Key focus areas are training, market access, information and communication, equipment and entrepreneurial development. Improved collaboration by SEDA with a number of key organisations in the industry will greatly assist with these interventions. SAPA and the DPFO are playing a strong role in the development of the industry and of small scale farmers within the industry. Increased leveraging of these forms of support will enable improvements in skill and information dissemination. Opportunities exist through growth in the leadership potential of cooperatives. Many of the concerns faced in the industry are a function of poor leadership and accountability. Conditional equipment provision programmes will encourage initiative and management within cooperatives through encouraging agency and ownership of decisions. The development of the support model outlined in Section 5.2.1 is therefore of high strategic priority. Through the further development of this model, SEDA will enable cooperatives to better assist themselves and become weaned off government support, thereby gaining agency. 93 | P a g e U r b a n - E c o n : D e v e l o p m e n t E c o n o m i s t s
Research Report: Addressing the Needs, Opportunities and Challenges of Cooperatives and Collectively Owned Enterprises in the Poultry and Related Industries References South African Poultry Association, Industry Profile, 2011. Obtained online at {http://www.sapoultry.co.za/industry_profile.php} Steyn, Ibrahim (2011) Exploring the legal context of informal trade in South Africa; A desktop study commissioned by the Ecumenical Service for Socio-Economic Transformation (ESSET), University of Johannesburg. Statistics South Africa, Census of Commercial Agriculture 2007 (Preliminary). Strydom, Gert (2011). Overview of the South African poultry industry: 2001 to 2011. Online at {http://www.sapoultry.co.za/pdf%20stats%20general/2012%2003%20OVERVIEW%20OF%20 THE%20SOUTH%20AFRICAN%20POULTRY%20INDUSTRY%20FROM%202001%20TO%202011 .pdf} Andre Louw, Jacques Schoeman, Mariette Geyser. (2011). Broiler industry supply chain study with emphasis on feed and feed-related issues. Department of Agriculture, Forestry and Fisheries. (2011). Guidelines for Agricultural business plans. Department of Agriculture, Forestry and Fisheries. (2012). A report on the National Agricultural Cooperatives Indaba. Department of Trade and Industry. (2012-2022). promoting an integrated cooperatives sector in South Africa. 94 | P a g e U r b a n - E c o n : D e v e l o p m e n t E c o n o m i s t s
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